The debtor or any other
interested person may prevent the exercise by the creditor of his right to become the
absolute owner of the immoveable or to dispose thereof, by remedying the omission or
breach mentioned in the notice and any subsequent omission or breach, and by paying the
costs, at any time during the delay for notice and, thereafter, before the creditor has
been declared, by deed signed voluntarily or by judgment, absolute owner of the
immoveable, or, in the case of a right to dispose of it, before the creditor has exercised
such right.

In the case of omission to pay a sum of money or to give security,
or in the case of the bankruptcy or insolvency of the debtor, the creditor who has given
the notice provided for in the preceding article is entitled to no indemnity except
interest and costs.

[Every judgment ordering separation of property]* must
be inscribed, without delay, by the prothonotary of the court which rendered the judgment,
upon a list kept for that purpose and posted in his office; and such inscription and the
date thereof must be mentioned at the end of such judgment, in the register in which it is
recorded.

The separation affects third parties, from the day
only when these formalities have been complied with.]

Special formalities are necessary in order to obtain judgments of
separation of property against traders, as provided in The Insolvent Act, 1864.

Article 1313 should read as follows: Every judgment
ordering separation of property must be inscribed, without delay, by the prothonotary of
the court which rendered the judgment, upon a list kept for that purpose and posted in his
office; and such inscription and the date thereof must be mentioned at the end of each
judgment, in the register in which it is recorded.

The
separation affects third parties, from the day only vhen the formalities have been
complied with C.C.1313: 43V. C. c.1.

Obs. This text is drawn from the Supplement to Title Xll of the
Revised Statutes of 1888 containing articles of the Civil Code affected by Federal
Iegislation. Although the law, An Act respecting the Revised Statutes of the Province of
Quebec, L.Q.1887, c.5 s.1 (18.5.1887/17.7.1887+). and the Proclamation of the
Lieutenant-Governor, R.Q.1888. CXVII, provide that the Supplement to Title Xll forms no
part of the Revised Statutes «and shall be held to have been
inserted for reference only, and may be omitted or corrected».

In the sale of moveable things the right of dissolution
by reason of non-payment of the price can only be exercised while the thing sold remains
in the possession of the buyer; without prejudice to the seller's right of revendication
as provided in the title Of Privileges and Hypothecs.

Article 1543 of the Civil Code is amended by adding
thereto the following paragraph:

In the case of insolvency
such right can only be exercised during the fifteen days next after the delivery.

In the sale of moveable things the right of dissolution by reason of
non-payment of the price can only be exercised while the thing sold remains in the
possession of the buyer; without prejudice to the seller's right of revendication as
provided in the title Of Privileges and Hypothecs.

In the case of insolvency such right can only be exercised during
the fifteen days next after the delivery.

Article 1892 of the said Code is amended by adding the
following paragraph:

Commercial partnerships are also
terminated by judgment maintaining, at the instance of a creditor of one of the partners,
the seizure of such partner's share in the stock of the partnership, or at the instance of
one of the partners after such seizure.

Partnership is dissolved:

1. By the efflux of time+;

2. By the extinction or loss of the partnership property;

3. By the accomplishment of the business for which it was
contracted;

4. By bankruptcy;

5. By the death+ of one of the partners;

6. By the civil death, or interdiction, or bankruptcy of one of the
partners;

7. By the will of one or more of the partners not to continue the
partnership, according to articles 1895 and 1896;

8. By the business of the partnership becoming impossible or
unlawful.

Limited partnerships are also determined by the causes declared in
article 1879, to which article the causes of dissolution declared in the above paragraphs
5 and 6 are subjected.

The causes of dissolution declared in paragraphs 5, 6, 7, do not
apply to joint-stock companies formed under the authority of a royal charter or of an act
of the legislature.

Commercial partnerships are also terminated by judgment maintaining,
at the instance of a creditor of one of the partners, the seizure of such partner's share
in the stock of the partnership, or at the instance of one of the partners after such
seizure.

7. By the will of one or more of the partners not to continue the
partnership, according to articles 1895 and 1896;

8. By the business of the partnership becoming impossible or
unlawful.

Limited partnerships are also determined by the causes declared in
article 1879, to which article the causes of dissolution declared in the above paragraphs
5 and 6 are subjected.

The causes of dissolution declared in paragraphs 5, 6, 7, do not
apply to joint-stock companies formed under the authority of a royal charter or of an act
of the legislature.

Commercial partnerships are also terminated by judgment maintaining,
at the instance of a creditor of one of the partners, the seizure of such partner's share
in the stock of the partnership, or at the instance of one of the partners after such
seizure.

Article 1892 of the said Code, amended by section 32 of
chapter 50 of the statutes of 1896/1897 and by section 2 of chapter 38 of the statutes of
1906, is again amended:

(a) by replacing subparagraph 6 of
the first paragraph by the following subparagraphs:

6. By the interdiction of one of the partners;

6a. By the bankruptcy
of one of the partners;

(b) by replacing the second, third and fourth paragraphs by the
following paragraphs:

The causes of dissolution set forth in subparagraphs 5, 6 and 7 of
the first paragraph do not apply to limited pannerships.

Commercial partnerships arc also terminated by judgment maintaining
the seizure of a partner's share.

However a limited partnership is not terminated for any cause set
out in paragraph 6a of the first paragraph or in the third paragraph if the other partners
assume or a third person assumes the debt of the partner being the judgment debtor or
bankrupt, up to such amount as allows sufficient property to remain to discharge the debts
of the partnership.

Partnership is dissolved:

1. By the efflux of time+;

2. By the extinction or loss of the partnership property;

3. By the accomplishment of the business for which it was
contracted;

4. By bankruptcy;

5. By the death+ of one of the partners;

6. By the interdiction of one of the partners;

6a. By the bankruptcy of one of the partners;

7. By the will of one or more of the partners not to continue the
partnership, according to articles 1895 and 1896;

8. By the business of the partnership becoming impossible or
unlawful.

The causes of dissolution set forth in subparagraphs 5, 6 and 7 of
the first paragraph do not apply to limited partnerships.

Commercial partnerships are also terminated by judgment maintaining
the seizure of a partner's share.

However, a limited partnership is not terminated for any cause set
out in paragraph 6a of the first paragraph or in the third paragraph if the other partners
assume or a third person assumes the debt of the partner being the judgment debtor or
bankrupt, up to such amount as allows sufficient property to remain to discharge the debts
of the partner­ship.

The privilege of the lessor extends to all rent that is
due or to become due under a lease in authentic form; if the lease be not in authentic
form, the privilege can only be claimed for three overdue instalments and for the
remainder of the current year.

Article 2005 of the said Civil Code is amended by
adding thereto the following:

But in the case of liquidation
under the provisions of articles 763a and following of the Code of Civil Procedure the
lessor's privilege is restricted to the whole of the rent due and to become due during the
current year, if there remain more than four months to complete the year; if there remain
less than four months to complete the year, the privilege extends to the current year and
the whole of the following year.

The privilege of the lessor extends to all rent that is due or to
become due under a lease in authentic form; if the lease be not in authentic form, the
privilege can only be claimed for three overdue instalments and for the remainder of the
current year.

But in the case of liquidation under the provisions of articles 763a
and following of the Code of Civil Procedure, the lessor's privilege is restricted to the
whole of the rent due and to become due during the current year, if there remain more than
four months to complete the year; if there remain less than four months to complete the
year, the privilege extends to the current year and the whole of the following year.

The privilege of the lessor extends to all rent that is due or to become due,
under a lease in authentic form.

But in the case of the liquidation of property abandoned by an
insolvent trader who has made an abandonment in favor of his creditors, the lessor's
privilege is restricted to the whole of the rent due and to become due during the current
year, if there remain more than four months to complete the year; and if there remain less
than four months to complete the year, to the whole of the rent due and to the rent
becoming due during the current year and the whole of the following year.

If the lease be not in authentic form, the privilege can only be
claimed for three overdue instalments and for the remainder of the current year.

Article 2005 of the Civil Code, as contained in article
5828 of the Revised Statutes, is replaced by the following:

The
privilege of the lessor extends to all rent that is due or to become due under a lease in
authentic form.

But in the case of the liquidation of property abandoned by an
insolvent trader who has made an abandonment in favor of his creditors, the lessor
privilege is restricted to twelve months rent due and the rent to become due during the
current year if there remain more than four months to complete the year; if there remain
less than four months to complete th year, to the twelve month's*
rent due and to the rent of the current year and the whole of the following year.

If the lease be not in authentic form, the privileg can only be
claimed for three overdue instalments and for the remainder of the current year.

Article 2005 of the Civil Code, as replaced by article
5828 of the Revised Statutes, 1888 and by the act 61, Victoria chapter 46, section 1, is
again replaced by the following:

In the case of a lease in
authentic form the privilegé of the lessor extends to all rent that is due and to not
more than six months' rent to become due under the said lease. In the case, however, of
the liquidation of property of an insolvent person, the said privilege insofar as arrears
of rent due under such a lease are concerned is restricted to twelve months' rent due and
to six months' rent to become due.

If the lease be not in authentic form tbe privilege, in every case,
can only be claimed for six months' rent due and for not more than three months' rent to
become due; however, the lease under private signature duly registered shall have the same
effect as the authentic lease from the date of its registration.

In the event of a
difference of opinion bet­ween the creditor and the debtor with respect to the amount due
the creditor shall, without delay, inform the proprietor of the immoveable, by means of a
notice which shall also mention the name of the creditor, the name of the debtor, the
amount claimed and the nature of the claim.

The proprietor retains the amount in dispute until notified of an
amicable settlement or a judicial decision.

In the event of a
difference of opinion bet­ween the creditor and the debtor, with respect to the amount
due, the creditor shall, without delay, inform the proprietor of the immoveable, by means
of a written notice which shall also mention the name of the creditor, the name of the
debtor, the amount claimed and the nature of the claim.

The proprietor then retains the amount in dispute until notified of
an amicable settlement or a judicial decision.

The supplier of materials is also entitled, in case of
the insolvency of the proprietor or builder, or in case of failure to make payment at the
periods agreed upon, to revendicate the materials he has supplied, but which have not yet
been incorporated into the building.

The supplier of materials is also entitled, in case
of the insolvency of the proprietor or builder, or in case of failure to make payment at
the periods agreed upon, to revendicate the materials he has supplied, but which have not
yet been incorporated into the building.

The supplier of
materials is also entitled, in case of the insolvency of the proprietor or builder, or in
case of failure to make payment at the periods agreed upon, to revendicate the materials
he has supplied, but which have not yet been incorporated into the building.

Hypothec cannot be acquired, to the prejudice ot
existing creditors, upon the immoveables of persons notoriously insolvent, or of traders
within the thirty days previous to their bankruptcy.

Article
2023 of the Civil Code is amended by adding thereto, after the word
"bankruptcy", in the fourth line thereof, the words: "Nevertheless a
hypothec is validly acquired when granted to the lender if money, who contracted in good
faith, provided it is registered before the bankruptcy or authorized assignment of the
borrower."

Hypothec cannot be acquired, to the prejudice of existing creditors,
upon the immoveables of person, notoriously insolvent, or of traders within the thirty
days previous to their bankruptcy. Nevertheless a hypothec is validly acquired when
granted to the lender of money, who contracted in good faith, provided it is registered
before the bankruptcy or authorized assignment of the borrower.

The registration of a title conferring real rights upon
the immoveable property of a person, made within the thirty days previous to his
bankruptcy, is without effect, saving the case in which the delay given, for the
registration of such title, as mentioned in the following chapter, has not yet expired.

Article 2090 of the civil Code is amended by adding
thereto, after the word "expired" in the sixth ligne thereof, the words
"and saving the exception contained in article 2023.**"

The registration of a title conferring real right or upon the immoveable
property of a person, made within the thirty days previous to his bankruptcy, is without
effect; saving the case in which the delay gives for the registration of such title, as
mentioned in the following chapter, has not yet expired and saving the exception contained
in article 2023.

The registration at length of confirmations of title,
forced licitations, sheriff's sales, sales in bankruptcy, and other sales having the
effect of discharging property from hypothecs, whether made before or after the ninth day
of June, one thousand eight hundred sixty-two, is equivalent to the registration of a
certificate of the discharge or of the extinction of all rights which are discharged by
such sales, forced licitations or confirmations of title, even of hypothecs for
conventional dower; and it is the duty of registrar in such case to make mention thereof
in the margin of each entry establishing a previous right extinguished by such sale,
confirmation of title, or decree of adjudication.

Article 2157 of the said Code is amended by replacing,
in the first ligne, the words "at length" by the words "by deposit".

The registration dy deposit of confirmations of title, forced licitations,
sheriff's sales, sales in bankruptcy, and other sales having the effect of discharging
property from hypothecs, whether made before or after the ninth day of June, one thousand
eight hundred sixty-two, is equivalent to the registration of a certificate of the
discharge or of the extinction of all rights which are discharged by such sales, forced
licitations or confirmations of title, even of hypothecs for conventional dower; and it is
the duty of registrar in such case to make mention thereof in the margin of each entry
establishing a previous right extinguished by such sale, confirmation of title, or decree
of adjudication.

Article 2578 of the said Code, replaced by section 2 of
chapter 70 of the statutes of 1974, is replaced by the following article:

In the case of death of the insured person, his bankruptcy or the transfer
between co-insured persons of their interest in the insurance, the insurance continues in
favour of the heir, the trustee in brankruptcy or the remaining insured person.